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LivestreamMenuWe are selling 100 shares of Starbucks at roughly $104.47 and buying 70 shares of FedEx Freight at roughly $153. Following the trades, Jim Cramer’s Charitable Trust will own 900 shares of SBUX, decreasing its weighting in the portfolio to about 2.42% from about 2.68%. It will also own 470 shares of FDXF, increasing its weighting in the portfolio to 1.85% from about 1.58%. On Starbucks, our desire is to book profits. The stock is within a few percentage points of its 52-week high, despite the recent rebound in oil prices, which could weigh on consumers’ desire to buy pricey drinks away from home. The recent strength in the stock also makes the setup for next week’s earnings release is that much tougher. To be sure, we think the same-store sales momentum we’ve seen recently can continue, thanks to CEO Brian Niccol’s turnaround efforts. However, the combination of relative strength and increased geopolitical tensions — Iran and a new round of tariffs adding to inflationary pressures — makes this a good time to lighten up and redeploy cash into a name that has only moved lower as shares of SBUX advanced. We will record a roughly 25% gain on shares purchased in the back half of 2022. So far in 2026, Starbucks is up more than 23%, significantly outperforming the S & P 500’s consumer discretionary sector, which is down over 8% year to date. It’s the worst of the index’s 11 sectors. That brings us to FedEx Freight. Higher oil certainly isn’t a positive for logistics companies — even if they can pass through the costs with fuel surcharges, it raises the risk of denting demand. Nevertheless, the decline in FDXF shares looks overdone. We continue to believe that a multiyear freight recession is coming to an end, and there’s a strong self-help story here now that the less-than-truckload shipping company has been separated from FedEx Corp. , which remains focused on smaller parcel delivery. We would also note that, while not related to FDXF, a courtroom loss for C.H. Robinson may be weighing on the group Friday. Whenever one of your stocks is being hit on news immaterial to your investment, that’s usually a pretty good time to take advantage. (Jim Cramer’s Charitable Trust is long SBUX, FDXF and FXF. See here for a full list of the stocks.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust’s portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.Read More
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